Tesla's Stock Drops 6.8% as US Law Ends EV Tax Credits Early

Electric vehicle tax credits for Tesla will expire early, affecting sales. CEO Elon Musk plans to start a new political party. Stock fell 6.8% on Monday. Lower sales expected post-credit expiration in 2026. Model 3 and Model Y sales may be hit hardest. Fair value estimate maintained at $250 per share. US EV sales forecast to decline in 2026 but rebound in 2027.

Read more at Morningstar: Shares Fall as US Law Set To Eliminate EV Tax Credits Early